Questions Every CPA Should Ask

You allow yourself the chance to shine when you are interviewing potential new clients. You can do this when you listen more than talk. If you want to kill two birds with one stone by asking your prospect several direct questions as it allows you to learn more about the business and how much work needs to be done. Additionally, it will enable the client to talk about themselves. Accounts outsourcing experts state that the majority of people don’t listen with intent; instead, they listen with the intent to reply. People love to talk about themselves, and business owners love to talk about their businesses. You can quickly hook a client if you are a good listener.

If you are offering bank reconciliation services, then you need to keep in mind that asking great questions in an oblique way will demonstrate to your prospect that you know what you are doing and it proves that you are experienced.

Some must ask questions every CPA should ask when meeting a client for the first time:

• What is your business entity?

If you are offering outsourced accounting services in the UK, then it is essential for you to know if you are a sole proprietor, an S corp or a C corp. the answer will give answers to other questions that might arise.

• Are your tax returns current, and when were the last taxes filed?

As you offer bookkeeping outsourcing services, then you need to ensure what you are getting into. If things are up to date and last year’s tax return has been filed, then there isn’t much to worry about, but the red flags are raised when tax returns aren’t filed for three years.

• How many accounts does the business entity have, and with what institutions?

Often this seems to be a direct question, but it yields exciting results. Of course, they will remember to list off their business checking and savings and also have a credit card too. 

• How do they prepare their invoices?

If you offer accounting and bookkeeping outsourcing, you need to find out if the client is preparing invoices in their accounting software or using any other third-party apps.

• How do they pay their bills?

Does the client prefer writing manual checks, Printed checks, or using online bill pay?  All answers have different ramifications, especially if they are using a system that has little or no experience.

• Do they have a payroll?

It is essential for clients to have a payroll by using a reputable third-party payroll service. Thus where payroll is concerned, one should tread wisely as, at times, payroll is entered incorrectly, and then P&L payroll figures don’t tie to the YTD payroll reports. 

• Do they have an inventory?

Ideally, inventory is an entirely unique field. If you are offering outsourced bookkeeping services to the UK, then it is most likely possible that you aren’t an inventory expert. Though inventory is a great vertical market and people love learning about it, you should carefully consider whether or not to take an inventory client.

• Do you report sales?

Sale is a highly time-consuming expertise area. Additionally, it requires tracking and meeting deadlines—all you need to ensure if they file taxes monthly, annually, or quarterly. Also, you need to ask if the filings are up to date or not. As a professional, you can dig deeper by asking questions if the client has undergone a sales audit in the past. If they have undergone an audit, then you can also ask for more details.

• How many hours per week do you estimate the work will take?

You shouldn’t be astonished if the client doesn’t answer this question. If that is an option, you can always ask the departing bookkeeper such a question. Often it is surprising to know that the business owners don’t know the task that a bookkeeper performs or how much time it takes.

• Why do you need to change a bookkeeper?

When you ask this question, you can be assured to hear some complaints about the bookkeeper that plans to leave the job.